reb223 Posted April 3, 2007 Report Share Posted April 3, 2007 I am in the process of changing coin-operated electricity meters over to check meters. These are sub-meters, and I will bill the tenants individually on a quarterly basis, according to how much electricity they use. My question is: do I have to issue an addendum to the lease, and have the tenants sign it? All have signed 6 months AST, most of which have now gone to a periodic tenancy. Currently in the lease there is the clause 'In addition to the rent I shall pay for all electricity consumed within the subject of the let.' As it does not specify the method of payment (i.e. pre-payment or quaterly bills), do you think it is sufficient? Thanks, Rebecca Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted April 3, 2007 Report Share Posted April 3, 2007 Hi Rebecca There are rules governing the max re-sale price per unit of electricity For more info google - energywatch or ofgem - you have also stated "all electricity consumed " but not mentioned the daily standing charge (you may not have one - depending on who the supplier is) at present you have not covered this in the clause above ! Personally i would add an "amount" to the rent say £30 per month(depending on average usage ) for electricity and then balance up with tenant every 3 months. Or over estimate the usage slightly and say electricity upto £35 per month is paid for(with the new rent price) - If you use more then you will be billed accordingly every 3 months. Simon PS careful how you word this as it could be considered a "deposit" and then you will have to protect it - Link to comment Share on other sites More sharing options...
reb223 Posted April 3, 2007 Author Report Share Posted April 3, 2007 Thanks for your advice, Simon. I have ofgem's "The resale of gas and electricity guidance for resellers" booklet, which of course i'll adhere to. According to the rules: "If the reseller pays a standing charge this must be divided pro-rata amongst the purchasers (and the reseller if he takes the electricity or gas through the same meter (according to the amount of energy used, or estimated to have been used, by each". I am currently paying multiple standing charges through Scottish Power, which you know about as you kindly advised me last week - ill update that thread in a moment. I'm not too keen to add an amount to the rent and charge/reimburse for the difference as at present I only take a few pounds from the coin meters (bedsits) and others around £20 (2-bed flats) so it could get quite complicated for me (there are 24 in total). I'd rather have a system whereby I read all the meters 4 times a year and churn out bills according to use. Regarding the deposit - I am in Glasgow and as yet we have no tenancy deposit scheme, but i'm watching it closely as it comes into effect in England and Wales and am really interested to see how it goes. I have added your point about the standing charges to an addendum to the lease I have drafted, as follows. Any feedback would be much appeciated: Addendum to lease I acknowledge that the coin-operated pre-payment electricity sub-meter has been replaced by a check meter, and that I will be billed quarterly by ***** for my electricity use. I accept that in addition to electricity usage, I will pay my proportion of any standing charge, in accordance with ofgem’s ‘The resale of gas and electricity guidance for resellers” (a copy of which has been supplied to me). I accept that ***** will need access to read the electricity sub-meter on or around 1st February, 1st May, 1st August and 1st November of each year and that I will receive a bill, payable by me within 30 days. I acknowledge my entitlement to view the utility bill from the main supplier, along with an explanation of how the bill has been calculated, upon a written request to *****. This will be followed by meter reading, date and signed by both parties. Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted April 3, 2007 Report Share Posted April 3, 2007 Hi Rebecca Looks like you have got this one sorted - wording looks fair and accurate to me. The only other piece of advice i have for you is "the check meter".. i use these in garages to bill occupants who rent independant of a "house". Are the meters in a central location (cupboard !) where the tenants cant get to "play" with them or are they in each "dwelling"? the only reason i ask this is because a ten year old could "short" a check meter -depending on the particular meter you are using !(we use reconditioned ones which cost around £10 each) You will need to get "crimp seals" to prevent this from happening ! If you are having a major "refit" do yourself a favour; and put them all in one lockable cupboard - also far easier for meter readings - yep you guessed it - i have had it done to me ! Simon Link to comment Share on other sites More sharing options...
reb223 Posted April 3, 2007 Author Report Share Posted April 3, 2007 Good advice, thanks. The meters are easily accessible to tenants, in a cupboard in their flats (they needed to be, so that they could insert coins to top up). Not a major refit at this stage, but there is one flat being rewired at the moment, so I think I'll ask to have that meter relocated - thanks! We have some of those lead crimp seals somewhere too I think! I am planning to use these meters, of which I have bought 3 to try out: Single phase meter Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted April 3, 2007 Report Share Posted April 3, 2007 Have just had a look - they look fine -nice and compact! couldn't find a price for them on the site though - how much are they charging per unit ? Sion Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted April 3, 2007 Report Share Posted April 3, 2007 Have just had a look - they look fine -nice and compact! couldn't find a price for them on the site though - how much are they charging per unit ? Simon Link to comment Share on other sites More sharing options...
Simon Dewsberry Posted April 3, 2007 Report Share Posted April 3, 2007 Have just had a look - they look fine -nice and compact! couldn't find a price for them on the site though - how much are they charging per unit ? Simon Link to comment Share on other sites More sharing options...
reb223 Posted April 3, 2007 Author Report Share Posted April 3, 2007 £35 each. I was looking for compact meter, as you pointed out, with a modern look. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.